FOR IMMEDIATE RELEASE
July 25, 2008
Contact: Kevin M. Mukri
OCC Closes First National Bank of Nevada and Appoints FDIC Receiver
WASHINGTON — First National Bank of Nevada, Reno, Nevada, was closed today by the Office of the Comptroller of the Currency (OCC), and the Federal Deposit Insurance Corporation (FDIC) was appointed receiver. First National Bank’s primary markets extended throughout Nevada and Arizona. The bank, with approximately $3.4 billion in assets, was chartered as a national bank in 1987. On June 30, 2008, an affiliate of the bank, known as the First National Bank of Arizona, Scottsdale, Arizona, was merged into First National Bank of Nevada.
The OCC acted after finding that the bank was undercapitalized and had experienced substantial dissipation of assets and earnings due to unsafe and unsound practices. The OCC also found that the bank had incurred and is likely to incur losses that will deplete all or substantially all of its capital, and there is no reasonable prospect that the bank will become adequately capitalized without federal assistance. The bank’s unsafe and unsound practices also weakened the bank’s condition and seriously prejudiced the interests of the bank’s depositors and the deposit insurance fund.
The FDIC will release information about the resolution of the bank.
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